Bank operations to become more transparent

The regulator approved a new version of the requirements for credit institutions to disclose information about their operations. The respective requirements are described in Bank of Russia Ordinance No. 4638-U, dated 6 December 2017, ‘On the Forms, Procedure and Timeframe for Credit Institutions to Disclose Information on Their Operations’ that has been registered with the Ministry of Justice and becomes effective 10 days after its official publication.

Banks are now obliged to disclose information about the risks assumed, risk assessment procedures, and risk and capital management in a separate document or a separate appendix to the annual (interim) accounting (financial) statements, in accordance with Bank of Russia Ordinance No. 4482-U, dated 7 August 2017, ‘On the Form and Procedure for a Credit Institution (Parent Credit Institution of a Banking Group) to Disclose Information on Risks Assumed, Risk Assessment Procedures and Risk and Capital Management Procedures’.

The information disclosed by credit institutions in the annual (interim) accounting (financial) statements will be brought in line with IFRS requirements.

The new requirements will increase the transparency of banks’ transactions and capital structure without placing excess regulatory load on them.